6pm shares advance by 9.1% to new high

April 29, 2016

MSE Trading Report for week ending April 29, 2016

The Malta Stock Exchange (MSE) Index added a further 0.3 per cent to last week’s marginal gain, to close at 4,546.499 points. Turnover amounted to €1.1m spread across 16 issues of which eight gained ground, six fell in value and two closed unchanged.

6pm Holdings plc shares were the top performers for the week, having appreciated by £0.08 or 9.1 per cent, closing at a record high of £0.955 – thus registering a 12.4 per cent increase in April. The equity was active on 16 trades of 76,200 shares.TheGroup reported a profit before tax of £1.6m for the financial year ended December 31, 2015, compared to £939k recorded in 2014. Revenue for the year amounted to £11.3m, a rise of 17 per cent over the previous year. This was the result of added focus that the Group is achieving within the Health Products sphere, specifically within the Clinical and Hospital Management products. Earnings per share stood at £0.081.

In the same sector, the share price of RS2 Software plc eased 0.1 per cent to €3.795 across 26 trades of 54,017 shares.Last Thursday, the company announced its financial results for the year ended December 31, 2015. Profit before tax amounted to €6.5m, compared to €4.2m recorded in 2014. Revenue for the period under review stood at €19.4m – up by 28 per cent year-on-year, which is primarily attributable to an additional demand for services corresponding to a 43% increase over 2014. Earnings per share stood at €0.054.

The Board of Directors recommended the payment of a final net dividend of €0.0278 per share which will be paid on June 30, 2016 to shareholders on the company’s register as at May 23, 2016. Furthermore, a bonus share issue of one share for every 18 shares held by shareholders on the share register as at May 23, 2016 will be recommended for approval. Moreover, the company resolved to recommend a 5 for 3 share split to be allotted proportionally to shareholders on the share register as at July 4, 2016.

Bank of Valletta plc (BOV) sharesoscillated between a weekly high of €2.265 and a low of €2.201, to ultimately close at €2.25. The banking equity witnessed the highest turnover of €341,687 spread across 73 deals of 152,897 shares.

After close of trading on Friday, BOV issued its interim financial results for the period ended March 31, 2016. The Group reported a profit before tax of €68.5m, compared to €58.8m recorded in the comparable period of 2015. Net Interest Income rose by 5.3 per cent to €74.9m. Operating income totalled €134.5m, up by 12.5 per cent. Earnings per share stood at €0.114. Furthermore, the board of directors declared a net interim dividend of €0.0254 per share, compared to last year’s net dividend of €0.0234 (adjusted for the bonus share issue). This is in line with the bank’s strategy to strengthen its Tier 1 capital ratio, having slightly tightened its dividend pay-out ratio from 22.6% in 2015 to 22.1% this year.The dividend will be paid on May 27, 2016 to shareholders on the company’s registrar as at May 12, 2016.

HSBC Bank Malta plc shares registered a 1.3 per cent gain over 20 trades of 71,539 shares, closing at €1.62. Conversely, Lombard Bank Malta plc shares declined by 2.1 per cent as four transactions of 2,942 shares were struck, to close at €2.135.

FIMBank plc shares advanced by two per cent as 63,400 shares changed ownership, closing at $0.765. On the other hand, Mapfre Middlesea plc shares stumbled by €0.10 or 4.4 per cent over eight deals of 2,850 shares, to close at €2.20.

The share price of International Hotel Investments plc appreciated by 3.2 per cent as 15 deals of 115,454 shares were negotiated, closing at €0.65. The company announced its Annual Results for the year ended December 31, 2015 reporting a loss before tax of €349k, compared to a loss of €30m in 2014. Revenue for the period amounted to €134m, a year-on-year increase of 10.6 per cent, attributable to higher revenues in the company’s European operations and the consolidation of the Island Hotels Group Holdings results for the second half of 2015. Against this, was a combined reduction of €9.7 million from the Group’s hotels located in St Petersburg and Tripoli. Earnings per share stood at a negative €0.01. Moreover, the company announced a three per cent bonus share issue to shareholders appearing on the shareholder register as at June 30, 2016.

Malta International Airport plc shares registered a 0.5 per cent increase over 13 trades of 11,762 shares, closing at €4.35. Likewise, Simonds Farsons Cisk plc shares edged 0.2 per cent higher across two transactions of 1,917 shares, to close at €6.12.

On a negative note, Malita Investments plc shares declined by 1.1 per cent as a sole trade of 10,000 shares was executed at €0.92. At the company’s Annual General Meeting (AGM) the shareholders approved the payment final net dividend of €2,117,945 or €0.0143 per share.

Plaza Centres plc shares edged one per cent higher over a single trade of a mere 500 shares executed at €1.04. Likewise, the share price of MIDI plc inched 0.5 per cent higher across two deals of 10,400 shares, to close at €0.39.

Malta Properties Company plcregistered a 2.1 per cent drop as 14 trades of 67,800 shares were struck, closing at €0.568. Meanwhile, GO plc shares closed unchanged at €3.479 as 7,030 shares changed ownership.

The other non-mover this week was Medserv plc having closed unchanged at €1.791 over six trades of 34,600 shares.

In the corporate bond market 28 issues were active of which 20 advanced, six declined and two closed unchanged. Turnover amounted to €743,405. The 4.25% Corinthia Finance plc Unsecured € 2026 was the most liquid issue having witnessed a turnover of €97,369, to close 1.4 per cent higher at €106.

In the sovereign debt market turnover totalled €7.4m spread across 23 issues of which 17 decreased in value and six strengthened. The 5.1% MGS 2029 (I) headed the list of fallers having declined by 1.2 per cent, to close at €141.31, while the 5.2% MGS 2020 (I) registered a 0.7 per cent gain, closing at €121.05.